Arabica Coffee Sinks To Lowest Since Feb. 2014

Arabica coffee futures fell to the lowest in more than a year amid signs of increasing global supplies and improved crop prospects for Brazil, the world’s top producer.

In the season starting Oct. 1 in most countries, output will probably be 154.5 million bags, up 1.7 million bags from a February estimate, Keith Flury, head of coffee research at Winterthur, Switzerland-based Volcafe, wrote in e-mailed report.

The analyst also boosted the forecast for the current season by 1.6 million bags as Brazil recovers from a drought last year, and cut the outlook for demand.